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Debtor Nations

Debtor nations are countries that have a net negative current account balance, meaning they import more goods and services than they export. This results in a deficit of capital, which they may need to finance through borrowing or other means.

Examples of debtor nations include many developing countries in Africa, Latin America, and parts of Asia. These countries often have a trade deficit because they rely on imports for basic goods like food, energy, and raw materials, while their exports are often commodities like agricultural products or raw materials that fetch lower prices on the global market. As a result, they may have trouble attracting investment and economic growth, and may be vulnerable to economic instability and debt crises.

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